As an Anaheim kid, going to Disneyland and watching the Anaheim Ducks or Angels were a normal part of growing up in my hometown.
Now, as mayor of Anaheim, I want to see more families and visitors making Anaheim memories — not fewer.
That’s why I am concerned that two tax proposals on Tuesday’s City Council agenda — calling for surcharges on theme parks, concerts, sports and parking — would be the wrong choice for Anaheim.
Raising taxes on residents and guests may seem like an easy answer. But it is not the right one. I understand the simplicity and ease of the idea. Tax visitors who generate added need for police, fire, roads and other services. What is the harm? That’s where the idea becomes shortsighted.
I welcome hearing from our residents, businesses and my Council colleagues. But we don’t need revenue for revenue’s sake. Anaheim faces challenges, but our budget is faring better than many other cities. Just because you can do something doesn’t mean it is fiscally responsible.
And “visitors” aren’t just nameless, faceless guests from far away. An estimated 75,000 Anaheim residents visit the theme parks each year. Thousands more enjoy games of our hometown Angels and Ducks.
Others are our friends from neighboring cities, counties, states and countries. They play a key role supporting what we do for families, neighborhoods and all of Anaheim.
More than $300 million, or 63 percent of our yearly revenue for police, fire, parks, libraries and other services comes from our visitor economy.
That’s the kind of economic engine most cities wish for. But rather than double down on taxing our visitor economy, we’re better off working to expand our tax base by encouraging the growth of innovative businesses in the Anaheim Canyon and across our city.
At a time when our economy is still recovering from the pandemic, small businesses and employees are stretched thin and prices are rising everywhere, why force visiting families to the breaking point with new taxes?
The risk for Anaheim is that a family of four from Fresno, Iowa, Mexico or beyond says enough is enough and doesn’t visit our city. That directly impacts tourism and our small businesses.
We also must guard against picking winners and losers via government intervention.
As written, the entertainment tax proposal doesn’t appear to include Honda Center, home of Ducks hockey, concerts and more.
On paper, the proposal includes Angel Stadium of Anaheim. But seeing any revenue there is unlikely due to a rebate exemption under the current lease.
That leaves just our theme parks. Regardless of whether you think Disney should pay more or not, a tax targeting one payor is unlikely to hold up under California law. And given our recent development agreements for DisneylandForward, we risk violating what we’ve agreed to and undermining our city’s reputation for bargaining in good faith.For years, Anaheim has taken a different approach, one that encourages investment and economic growth and the revenue that comes with it. And it has worked.
We are on the verge of an unprecedented wave of growth that stands to bring a whole new generation of visitors, with all the revenue benefits they bring. We look to economic development, not taxes, to generate revenue, like the $4 billion investment of OCVibe and the billions in investment to come with Disneyland’s expansion.
Anaheim is a city built on dreams and opportunities. Let’s continue to make those dreams possible for everyone, by encouraging economic partnerships, job creation and ensuring resources are there for those who call Anaheim home.
Ashleigh Aitken is mayor of the city of Anaheim.
Originally Published:
‘ The preceding article may include information circulated by third parties ’
‘ Some details of this article were extracted from the following source www.ocregister.com ’
